Relief for domestic consumers on the way

By M. Malleswara Rao

HYDERABAD, JUNE 2. The Government on Friday formally submitted its decision to the Andhra Pradesh Electricity Regulatory Commission for giving a extra subsidy of about Rs. 240 crores to reduce power tariff burden on all the four categories of consumers in the domestic sector.

The Principal Secretary for Energy, Mr V. S. Sampath, made presentation of the Government's viewpoint before the Commission this morning, offering the extra amount in addition to Rs. 1,345 crores which was acknowledged by the Commission while issuing its order approving the tariff hike.

As the new tariff rates are to be effective from June 4 (Sunday), the Commission, as such, is expected to modify the present order or a issue a new one on Saturday, specifying the new rates for the aforesaid four categories of consumers. According to the Energy Minister, Mr K. Subbarayudu, who spoke to reporters after the Energy Secretary's meeting with the Commission, this would be preceded by a formal announcement by the Chief Minister, Mr N. Chandrababu Naidu, confirming the exact figure of the extra subsidy.

Mr. Subbarayudu referred to the heartburn among domestic consumers against consumption being billed for two months which implied pushing the ordinary consumer to a higher bracket and said billing would be done for month hereafter,``with immediate effect.'' Not all components of the APERC order were negative, he said, pointing out to the direction to the AP Transco to switch over to telescopic system of billing. This, he said, would give a great relief to consumers.

He also said it was not true that the Government did not honour its commitment to give Rs 2,100 crores to AP Transco as was being pointed out by people and political parties. Prior to agreeing to extend the subsidy to the tune of Rs 1,345 crores as mentioned in the APERC's order, and about Rs 240 crores being given now to reduce the burden on domestic users, the Government had spent nearly Rs 750 crores on interest payments on the loans floated by the AP Transco as it stood the guarantor of such loans.

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